ChowNow hybrid marketplace preserving ownership

Diving deeper into

Chris Webb, CEO of ChowNow, on the new restaurant stack

Interview
what we’re trying to build with our marketplace, is something that cherry picks the best of both sides.
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This reveals ChowNow’s real ambition, to turn first party restaurant ordering into a marketplace product without reintroducing marketplace economics. In practice, that means a diner gets one app and one login across many restaurants, while the restaurant still owns the order flow, keeps customer data, and avoids the 15% to 30% commissions that made third party apps valuable to consumers but painful for merchants.

  • Classic aggregators like DoorDash win on convenience because diners can browse many restaurants in one place, but their take rates pushed restaurant margins down to 1% to 2% during the delivery boom. ChowNow’s hybrid model tries to keep the discovery layer while holding blended take rate closer to about 10% to 11%.
  • The product logic is concrete. Restaurants use ChowNow for website ordering widgets, branded apps, POS connected order flow, and delivery fulfillment, then also appear in the ChowNow app and Order Better Network for discovery. That lets a small restaurant act like it has both its own storefront and shelf space inside a bigger mall.
  • This middle path became the template for the new restaurant stack. Owner bundles websites, ordering, marketing, and loyalty for a flat monthly fee plus a small diner fee, while DoorDash moved the other direction by offering Storefront and logistics as software services. Everyone is converging on the same prize, the restaurant’s direct digital relationship.

The market is heading toward bundled restaurant operating systems that mix direct ordering, customer retention, and selective marketplace reach. The winners will be the platforms that let restaurants buy demand when needed, keep repeat customers on owned channels, and plug delivery in as a utility instead of surrendering the whole customer relationship to an aggregator.